Lifeline for Silverstone

Sports minister Richard Caborn today expressed confidence that Silverstone will remain the home of the British Grand Prix despite last week's ultimatum from Formula One supremo Bernie Ecclestone.

Silverstone's immediate future was thrown into doubt in the run-up to yesterday's British Grand Prix when Ecclestone said its guarantee to host the race until 2006 was conditional on finding a new promoter by the end of September.

But Caborn, who watched reigning world champion Michael Schumacher dominate the race and handed out the trophies with Deputy Prime Minister John Prescott, said: "I am confident the Grand Prix will stay at Silverstone for the next two years at least. I believe all the parties know the importance of keeping it there.

"We must use that time to develop the complex around it and develop an industrial centre of excellence for motor sport."

With 40,000 jobs linked to the businesses of the eight Formula One teams based in Britain, the Government has taken a close interest in Silverstone's plight.

Ecclestone believes the track is not up to the standards of other circuits around the world.

He is putting pressure on the British Racing Drivers Club, who own the circuit, to find a company to buy the £8million promotion rights after the previous backer, Interpublic, pulled out of a long-term deal earlier this year. Ken Livingstone's announcement that he wants to stage a Grand Prix in London within four years has put extra pressure on Silverstone.

The London idea is unlikely to become reality because of the financial and congestion problems. Experts believe staging a grand prix in London could cost upwards of £100m.

Caborn said last week's F1 demonstration down Regents Street had provided a great curtain-raiser for yesterday's race.

"It showed we can do these things but we are a long way from running a grand prix in the capital," he said.

The Government's focus now is on developing F1 technology in Britain and making sure Silverstone is the home of the industry.

Caborn said: "Once you lose these things it is hard to get them back. The Grand Prix is the jewel in the crown and the crown is very important to British manufacturing."

The importance of technology to F1 was illustrated clearly in yesterday's race.

Although he is regarded as one of the best drivers in the history of the sport, Schumacher is dominating this year's championship because he is driving the most technologicallyadvanced Ferrari car, the reliability of which cannot be matched by the other teams.

The progress F1 has also made in safety was shown clearly when Italian Jarno Trulli walked away from a spectacular accident even though most of his Renault was destroyed after it spun, hit a tyre wall and rolled over on lap 40.

Even the seasoned Schumacher winced when he saw a television replay of the incident. The German broke his leg at the circuit in 1999.

Most of the drivers enjoy racing at Silverstone and the general organisation of yesterday's race was good for the 100,000 spectators.

It may be a long way from the glitz of Monaco but celebrities still make their way to Northamptonshire, many of them by helicopter.

Yesterday had a political theme with Caborn and Prescott inspecting the cars on the grid just before the race. Political satirist Rory Bremner was also a special guest of former world champion Sir Jackie Stewart.

Celebrity cook Gordon Ramsay got involved in the celebrations at the finish, wearing the coat of the McLaren-Mercedes team and joining in the cheers of second-placed Finn Kimi Raikkonen.

From the world of football there were Arsenal's Dennis Bergkamp with his family and Chelsea chief executive Peter Kenyon.

There have been rumours his boss Roman Abramovich could be interested in buying a stake in the sport, although there is no sign yet the Russian billionaire is ready to put his hand in his pocket.

A British winner would have made Ecclestone think even more carefully before leaving Silverstone out of the Grand Prix calendar.

But with Schumacher in such dominant form after his 10th victory in 11 races this season, Jenson Button had to settle for fourth in his BAR-Honda.

Button said: "It's disappointing for me but more so for the fans and the team because I drove my heart out. I couldn't do any more.

"We are capable of catching Ferrari. We are all very determined to be world champions in the future and to do that we need to keep fighting throughout the year."

Schumacher, however, is cruising towards a record seventh world title after the 80th triumph of his career.

He leads the drivers' championship with 100 points from team-mate Rubens Barrichello on 74. Button is third with 53.

Next stop is Hockenheim on 25 July and few will bet against another home triumph for the German.